The New York State Public Service Commission seeks public comments on a Joint Proposal regarding Pennsylvania Electric Company’s (Penelec or Company) proposed rates. Opportunities to comment include public statement hearings, which will be held before an Administrative Law Judge.

It is not necessary to make an appointment in advance or present written material to speak at the hearings. Persons will be called to speak after completing a request card. The hearings will be held open for a minimum of one hour, and will continue until everyone wishing to speak has been heard or other reasonable arrangements are made.

Disabled persons requiring special accommodations may place a collect call to the Department of Public Service's Human Resources Management Office at 518-474-2520. TDD users may request a sign language interpreter by placing a call through the New York Relay Service at 711 to reach the Department of Public Service’s Human Resource Management Office at the previously mentioned number.

  Public Statement Hearings

 Thursday, March 15, 2012

 Afternoon Session: 3:00 pm

Evening Session: 6:00 pm

Waverly Free Library Community Room
18 Elizabeth Street
Waverly, NY

Background

On October 28 and November 9, 2011, Penelec filed tariff amendments to increase rates for its New York State customers. Penelec requested an increase in total revenues of about $2 million or 42%. The proposed increase was primarily (25%) based on Waverly customers being charged the same market-based commodity rates that will be charged to all other Penelec customers on July 1, 2012. The increase was also due to new Federal Energy Regulatory Commission-approved transmission rates (6%), higher non-utility generator costs (5%) and the New York State Temporary Assessment (6%). Delivery rates are not being increased.

In December 2011, Penelec filed a notice of settlement negotiations in which all parties were invited to participate. The negotiations resulted in agreement by Department of Public Service (DPS) Staff and Penelec on a Joint Proposal that was filed on February 22, 2012.

Summary of Joint Proposal

The Joint Proposal filed by Staff and Penelec proposes a two-year phase in to the transition to market-based rates and then a rate recovery of the deferred balance over the subsequent four years. The impact of the transition would be mitigated so that bill increases will be limited to 12% or less on a class average basis for the period June 1, 2012 to May 31, 2014. The rates are proposed to take effect June 1, 2012. Under the Joint 2

Proposal, the increase in revenue will be approximately 25.6%.

The Commission may adopt or reject the parties’ proposal in whole or in part.

For additional information about the case you may visit the Commission’s Website- http://www.dps.ny.gov – Click on "Search", scroll down to the field, "Search Case/Matter number", and enter 11-E-0594 in the search field. Click to view related documents.

Interested members of the public may also comment as noted below. Your comments should refer to "Case 11-E-0594 – Pennsylvania Electric Company – Electric Rates."

How to Comment on the Case:

• The Internet: Comments may be submitted via the Internet in two ways: (1) by following the directions in the prior paragraphs explaining how to reach and open "Pennsylvania Electric Company’s" rate case and then clicking on "Post Comments", or (2) by e-mailing comments directly to the Secretary to the Commission at [email protected]. Many libraries offer free Internet access.
• Mail Written Comments: Written comments may also be mailed to Hon. Jaclyn A. Brilling, Secretary, Public Service Commission, Three Empire State Plaza, Albany, New York 12223-1350

• Toll-Free Opinion Line: Another way to submit comments is by calling the Commission’s toll-free Opinion Line at 1-800-335-2120. This line is set up to receive in-state calls 24-hours a day. Callers should refer to "Case 11-E-0594 – Pennsylvania Electric Company – Electric Rates."

All statements and comments received by the Administrative Law Judge and the Department will be placed in the matter file and posted to the Department’s Document Matter and Management System to be viewed electronically on the Department’s Website (http://www.dps.ny.gov).

All comments should be submitted, or mailed and postmarked, by no later than Friday, March 23, 2012. All public comments received by the Department will be placed in the official matter file and subject to public inspection.

• You can click here for a printable factsheet regarding information in this case.